If this is your first visit, be sure to
check out the FAQ by clicking the
link above. You may have to register
before you can post: click the register link above to proceed. To start viewing messages,
select the forum that you want to visit from the selection below.

Every year 12 million U.S. consumers take out a short-term payday loan. Most are faced with a financial emergency and plan to repay the money quickly. Most, however, quickly discover they can't.

"I fell on hard times and decided to take out a small payday loan," Tareeka, of Jackson, Miss., wrote in a ConsumerAffairs post. "The company loaned me $600.00. I already made a payment of $486.00 so far and still owe $812 and only borrowed $600. This is paying more then double back."

Tareeka's story is far from unusual. A new report from The Pew Charitable Trusts found the average payday loan requires a repayment of more than $400 two weeks later. The average borrower, the report says, can only afford to pay $50.
The question never asked

If borrowers stopped to think, they might see the trap. If they are short of money now -- requiring them to borrow -- how are they going to be able to pay the money back, plus fees, in just two weeks?

But when people are in desperate straits, they often don't think ahead. When two weeks go by and they are unable to repay the loan, they have no choice but to borrow more money, starting the cycle all over again.
Read More>http://www.consumeraffairs.com/news/...ns-022213.html

This kind of lending used to be illegal.

The difference between pigs and people is that when they tell you you're cured it isn't a good thing.

While about almost as sleazy as car title loans, Amscot gains a touch of respectability in that they do indeed provide "banking services" to people who banks don't want to do business with. They will cash checks and issue money orders (for free) and I think they even have a rechargeable debit card that they will load with your paycheck or direct deposit.

Their true colors shine through though when you consider their hours. It's difficult to imagine why they are open 24 hrs a day. Other than bail or drugs, why would a person need scared money in the middle of the night?

While you were hanging yourself , on someone else's words
Dying to believe in what you heard
I was staring straight into the shining sun